Pelosi yanks campaign finance bill

Following a rebellion by two important factions of rank-and-file House Democrats, Speaker Nancy Pelosi (D-Calif.) has pulled a campaign-finance bill opposed by a broad coalition of special interest groups, including the U.S. Chamber of Commerce.

Pelosi and other Democratic leaders had scheduled a Friday vote on the DISCLOSE Act, a bill requiring special-interest groups to disclose their top donors if they choose to run TV ads or send out mass mailings in the final months of an election. The legislation is designed to roll back the controversial Supreme Court decision in the Citizens United case, which overturned restrictions on corporate campaign activities.

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But after complaints from the conservative Blue Dogs and the Congressional Black Caucus, Pelosi was forced to pull the bill on Thursday night.

Pelosi's office declined to comment on Thursday evening's decision to pull the bill from the floor.

Democratic leadership aides said the vote would be rescheduled until next week, but it is still unclear whether Pelosi and Rep. Chris Van Hollen (Md.), chairman of the Democratic Congressional Campaign Committee and the author of the bill, will have enough votes to move forward then.

A spokesman for Van Hollen said the Maryland Democrat would continue to push forward on the legislation, in spite of the setback.

“We made a lot of progress this week despite opposition by hundreds of special interests groups who are doing what they do best – looking out for themselves," said Doug Thornell, a Van Hollen aide. "While we aren't there yet, we will be soon. Reforming the way Washington works and taking on corporate greed is never easy.” Pelosi summoned the Blue Dogs and CBC to back-to-back meetings this afternoon, but was unable to overcome their opposition to the legislation. The Blue Dogs are concerned that opposition from the Chamber, National Federation of Independent Business, National Association of Realtors and other business groups will damage their reelection prospects in the fall.

The CBC, on the other hand, was unhappy about an exemption to the bill granted to the National Rifle Association agreed to by Van Hollen. While the exemption was later extended to other groups, the CBC remained concerned about the bill’s potential impact on the NAACP and other progressive groups.

Democratic lawmakers were largely tight-lipped leaving Pelosi’s office late Thursday afternoon, although it was clear that momentum was clearly building against a Friday vote.

By early evening, Majority Leader Steny Hoyer’s (D-Md.) office formally announced that the vote had been cancelled.

In January, the Supreme Court struck down long-standing restrictions that barred corporations and labor unions from intervening directly in federal races during the final months of a campaign. Democratic leaders have vowed to pass legislation restoring some restrictions on such political activities, but have not been able to push it through the House yet.

Leading campaign watchdog groups are still backing the Van Hollen bill, despite the NRA exemption — which would also cover AARP and the Humane Society — as are progressive Democrats, despite their concerns over granting the NRA’s exemption.

Yet with virtually unanimous opposition to the bill from Republicans, Pelosi and Van Hollen could not afford to lose large numbers of votes from the Blue Dogs and the CBC.

Labor unions, like the NRA, are not pleased with the legislation but have decided not to actively oppose it.

A similar bill in the Senate, drafted by Sen. Chuck Schumer (D-N.Y.), faces an uncertain future, as Minority Leader Mitch McConnell (R-Ky.) has vowed to block it.